Wedbush Raises Palantir Price Target to $200

Wedbush analyst Dan Ives raised the price target on Palantir Technologies Inc.

(NASDAQ: PLTR) to $200 (from $160) while maintaining an Outperform rating.

“We maintain our OUTPERFORM rating on PLTR while raising our price target from $160 to $200 reflecting continued hyper growth demand for the company’s AI product suite with the use case era of the AI Revolution now here.

This was another eye-popping quarter for the Messi of AI as AIP continues gaining unprecedented interest across the commercial landscape with US Commercial front and center seeing 93% y/y growth with more enterprises looking to PLTR for complex AI use cases.

We believe in the next few years Palantir has the potential to be a trillion dollar market cap as the AI Revolution takes hold.

Impressive Guidance Across the Board; The company gave stronger guidance across the board as the company continues capitalizing on demand for its product suite across government and commercial while investing strategically into its products while remaining committed to maintaining a strong Rule of 40 profile, which is expected to be 91% for FY25.

Total revenue is expected to be in the range of $4.142 billion to $4.150 billion well-above the Street’s $3.890 billion with US Commercial expected to grow 85%+ in FY25 as the Messi of AI delivers game-changing AI production use cases to solve problems faster while making enterprises more efficient and productive.

Adjusted income from operations is expected to be in the range of $1.912 billion to $1.920 billion above the Street’s $1.720 billion estimate with free cash flow expected to be in the range of $1.800 billion to $2.000 billion well-above the Street’s $1.680 billion estimate as the company commits to strengthening its Rule of 40 profile while investing into hiring elite technical talent while building out its product pipeline.

We believe Palantir has a “golden path to become the next Oracle” over the coming years and will grow into its valuation.”

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